The models of portfolio selection and asset price dynamics in this volume seek to explain the market dynamics of asset prices. Presenting a range of analytical, empirical, and numerical techniques as well as several different modeling approaches, the authors depict the state of debate on the market selection hypothesis. By explicitly assuming the heterogeneity of investors, they present models that are descriptive and normative as well, making the volume useful for both finance theorists and financial practitioners.

1. Thought and Behavior Contagion in Capital Markets
2. How Markets Slowly Digest Changes in Supply and Demand
3. Stochastic Behavioral Asset-Pricing Models and the Stylized Facts
4. Complex Evolutionary Systems in Behavioral Finance
5. Heterogeneity, Market Mechanisms, and Asset Price Dynamics
6. Perfect Forecasting, Behavioral Heterogeneities, and Asset Prices
7. Market Selection and Asset Pricing
8. Rational Diverse Beliefs and Market Volatility
9. Evolutionary Finance